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Tax and benefit changes will 'hit families hardest'

Families with children will be hardest hit by tax and benefit changes aimed at cutting the deficit, a charity argues.

The Family and Parenting Institute (FPI) says the average income of households with children will drop by 4.2% between 2010-11 and 2015-16, the equivalent of £1,250 a year.

Average household income however will fall 0.9%, or £215 a year, say the FPI.

The government says it is already taking "practical steps" to help such as cutting fuel duty and income tax.

Chris Buckler reports.

  • 04 Jan 2012